Economic news

Major brokerages now expect Fed to cut rates in September

2024.08.06 05:36

August 6 (Reuters) -Brokerages including J.P. Morgan, Citigroup and Wells Fargo have forecast a 50 basis-point interest rate cut by the Federal Reserve in September after a surprisingly weak U.S. employment report for July.

The U.S. unemployment rate jumped to near a three-year high of 4.3% in July amid a significant slowdown in hiring, fuelling concerns fears that the labor market was deteriorating and potentially making the economy vulnerable to a recession.

BofA Global Research brought forward its expectation of the first cut to September from December, while other major brokerages now expect the Fed to cut rates in all the three remaining meetings of the year.

Here are the forecasts from major brokerages after the July unemployment data:

New rate cut estimates Old rate cut estimates (in

(in bps) bps)

Sept Nov Dec Sept Nov Dec

Goldman 25

Sachs 25 25 25 25

BofA

Global Research 25 — 25 — — 25

UBS 50 25

Global Wealth 50 25

Management

J.P.Morgan 50 50 25 — — —

Wells 25

Fargo 50 50 25 25

Nomura 25

25 25 25 25

Deutsche

Bank 25 25 25 25 25 25

Morgan

Stanley 25 25 25 25 25 25

Citigroup 50 50 25 25 25 25

TD

Securities 25 25 25 — — —

Peel

Hunt 25 25 25 25 — 25

Barclays 25

© Reuters. FILE PHOTO: The exterior of the Marriner S. Eccles Federal Reserve Board Building is seen in Washington, D.C., U.S., June 14, 2022. REUTERS/Sarah Silbiger/File Photo

25 25 25 25

* UBS Global Research and UBS Global Wealth Management are distinct, independent divisions in UBS Group



Source link

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 97,479.12 1.06%
ethereum
Ethereum (ETH) $ 3,339.53 2.83%
tether
Tether (USDT) $ 1.00 0.09%
solana
Solana (SOL) $ 250.31 3.41%
bnb
BNB (BNB) $ 655.18 0.78%
xrp
XRP (XRP) $ 1.38 7.43%
dogecoin
Dogecoin (DOGE) $ 0.418752 6.38%
usd-coin
USDC (USDC) $ 0.999375 0.06%
cardano
Cardano (ADA) $ 0.988451 8.89%
staked-ether
Lido Staked Ether (STETH) $ 3,341.04 2.70%
tron
TRON (TRX) $ 0.207769 3.62%
avalanche-2
Avalanche (AVAX) $ 40.69 4.52%
stellar
Stellar (XLM) $ 0.509346 13.30%
the-open-network
Toncoin (TON) $ 6.08 4.71%
shiba-inu
Shiba Inu (SHIB) $ 0.000025 7.79%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,961.14 2.59%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 97,373.09 0.64%
polkadot
Polkadot (DOT) $ 8.57 8.86%
chainlink
Chainlink (LINK) $ 17.47 2.99%
bitcoin-cash
Bitcoin Cash (BCH) $ 505.44 3.30%
weth
WETH (WETH) $ 3,341.63 2.70%
sui
Sui (SUI) $ 3.34 5.75%
pepe
Pepe (PEPE) $ 0.00002 5.21%
near
NEAR Protocol (NEAR) $ 6.80 6.17%
leo-token
LEO Token (LEO) $ 8.63 0.38%
litecoin
Litecoin (LTC) $ 95.75 6.41%
aptos
Aptos (APT) $ 12.09 8.48%
uniswap
Uniswap (UNI) $ 10.69 2.17%
wrapped-eeth
Wrapped eETH (WEETH) $ 3,519.06 2.80%
hedera-hashgraph
Hedera (HBAR) $ 0.139743 11.03%
internet-computer
Internet Computer (ICP) $ 11.20 5.46%
usds
USDS (USDS) $ 0.998841 0.24%
crypto-com-chain
Cronos (CRO) $ 0.183812 8.57%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.549728 7.24%
ethereum-classic
Ethereum Classic (ETC) $ 28.14 6.88%
render-token
Render (RENDER) $ 7.93 0.70%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 1.50 2.37%
bittensor
Bittensor (TAO) $ 526.57 1.66%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.06%
kaspa
Kaspa (KAS) $ 0.150221 3.82%
whitebit
WhiteBIT Coin (WBT) $ 24.39 1.57%
dai
Dai (DAI) $ 0.999352 0.07%
bonk
Bonk (BONK) $ 0.000046 7.35%
arbitrum
Arbitrum (ARB) $ 0.835542 5.52%
vechain
VeChain (VET) $ 0.042125 4.15%
blockstack
Stacks (STX) $ 2.27 7.42%
filecoin
Filecoin (FIL) $ 5.49 6.05%
okb
OKB (OKB) $ 55.01 6.82%
celestia
Celestia (TIA) $ 7.64 3.10%
cosmos
Cosmos Hub (ATOM) $ 8.34 9.74%